The city of San Mateo is accusing a Central Valley contractor of botching a six-figure project to install wheelchair ramps, a conflict that could cost taxpayers and has delayed the completion of the federally mandated work.

San Mateo public works officials are ready to terminate the $486,000 contract the city signed with Madera-based Victory Engineers in March to install 221 wheelchair ramps around town.

When the city sought a contractor for the work in January, officials were pleased when Victory Engineers said it could finish the job for about $100,000 less than what city engineers had projected. Although the city hadn’t done business with the company before, the price quote was the lowest of nine contractors that applied and was $58,000 cheaper than the second-lowest bidder.

But public works Deputy Director Susanna Chan said the company sent foremen to the site and plucked workers from local union halls, instead of bringing its own employees, in order to save on transportation costs.

She said the local workers did not have much experience installing wheelchair ramps, leading to lousy workmanship, and the company was using materials that were not up to par.

Public works inspectors noticed that some of the ramps were so shoddy that they had to be redone, adding to the contractor’s costs.

“They were kind of in over their heads in terms of the nature of the work and losing money,” said public works Director Larry Patterson.

The city is already on the hook for $363,000, most of which it has already paid the company, and still has to re-advertise the project so a new contractor can finish the remaining quarter of the work, Chan said.

The total cost to the city will be unknown until the city receives bids for the rest of the work, which is required under the Americans With Disabilities Act, she said.

It’s also unclear whether the company will try to recover from the city the cost of the work that had to be done again or ask for more money for other reasons, since it has refused to sign the final balance sheet.

The funds for the project came from countywide sales tax proceeds, the city budget and city gas tax revenues.

Further complicating matters is that the delay of the project could have a ripple effect and put off street repaving projects slated for spring, Patterson said.

The project manager at Victory Engineers did not return a message requesting comment Thursday.

The company’s website said it has completed more than 50 projects, including ramps, since launching in May 2007.

The City Council is expected to terminate the contract Jan. 3.

Mike Rosenberg covers San Mateo, Burlingame, Belmont and transportation. Contact him at 650-348-4324.

Wheelchair ramps

Federal law requires San Mateo to install ramps, and officials have contracted to add 221 around town. Here are the complications:

ORIGINAL DEAL: Victory Engineers was hired to install ramps in a bid $58,000 cheaper than rivals.TERMINATING CONTRACT: City officials are ready to end a $486,000 deal for the ramps due to cost overruns and redone work.ON THE HOOK: The city is liable for $363,000, most of which has already been paid to the company.